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Politics : Politics of Energy -- Ignore unavailable to you. Want to Upgrade?


To: J_F_Shepard who wrote (1786)8/19/2008 2:50:08 PM
From: TimF  Read Replies (1) | Respond to of 86356
 
Its impossible to know the precise price elasticity except in hindsight. Educated guesses are possible, and may be available, but since the elasticity changes at different prices, and with different conditions the exact elasticity at any given moment is not normally something I worry about much.

Why do you assume the elasticity will be unitary?